Time to Buy Biotech

Biotech stocks have had a big runup, but these fund managers say there's plenty of growth left for these innovative companies.

It has been 11 years since the human genome was first mapped, at a cost of $2.7 billion. Since then, the cost of DNA sequencing has dropped to about $1,000, and our understanding of the nature of disease has expanded exponentially. This has created a land rush for biotechnology companies, which use living organisms to develop medical treatments. For the past three years, biotech stocks have risen spectacularly, though this year things have been bumpier.